Cheviot Financial Corp. in Cheviot, Ohio, said Tuesday that it had received regulatory approval for a stock offering tied to its mutual holding company's proposed mutual-to-stock conversion.
The proposed holding company for Cheviot Savings Bank will sell the mutual holding company's 61.5% ownership interest, offering 4.7 million to 6.3 million shares at $8 each. The proceeds should range from $37.4 million to $50.6 million. The new company also has the right to increase the number of shares in the offering by up to 15%, which could boost the final inflow of funds to $58.2 million.
At the end of the conversion and offering, shares held by public stockholders of the old company will be exchanged for 0.8570 to 1.1594 shares in the new company. The new company will be completely publicly owned while the old company and the mutual holding company will cease to exist.
The completion of conversion and offering are subject to selling a minimum of 4.7 million shares. The transaction is expected to close in January.